Point 1:
OpenAI plans to acquire Jony Ive’s startup io to jointly develop an “AI companion” device, aiming for a shipment of 100 million units to challenge the existing technology landscape.
Point 2:
The new AI device emphasizes environmental awareness and non-intrusive interaction, but it is neither a phone nor glasses, aiming to become the users’ third core device after laptops and smartphones.
Point 3:
Altman and Ive hope that this collaboration will combine AI technology with innovative design, freeing users from screen dependency, and creating a completely new human-machine interaction experience.
OpenAI New Device Revealed to be “Slightly Larger than AI Pin”
OpenAI CEO Sam Altman revealed a shocking plan to employees on Wednesday, indicating a collaboration with Apple’s former Chief Designer Jony Ive to develop a new type of AI device. To achieve this goal, OpenAI plans to acquire Ive’s startup io for an estimated $6.5 billion (approximately NT$195 billion), aiming to create and ship 100 million AI “companion” devices to integrate them into daily life. Reports indicate that Altman is even more optimistic, anticipating that this strategic acquisition and collaboration could bring OpenAI a value increase of up to $1 trillion (approximately NT$30 trillion), demonstrating immense confidence and ambition for this product line. According to TF International Securities analyst Ming-Chi Kuo, this new device will be equipped with cameras and microphones to detect the external environment but will lack display functionality. Therefore, it is expected to connect with smartphones and PCs, utilizing their computing and display capabilities.
Disrupting Interaction: What is the Concept of the “AI Companion”?
Altman and Ive revealed that this product, currently under secret development, will fully perceive the user’s surrounding environment and life details. Its core design philosophy is centered around “non-intrusiveness,” allowing it to be conveniently placed in pockets or on tables. The device is positioned as the “third core device” for users after the MacBook Pro and iPhone, aiming to pioneer a new model of human-machine interaction. The Wall Street Journal previously reported that this device is not a traditional smartphone; Ive and Altman’s joint goal is to help users reduce their dependence on screens. Altman also clearly stated that the product is not a glasses-type device and mentioned that Ive has been cautious about wearable devices. Regarding the positioning of the new device, Ive described it as “a new design movement,” while Altman stated it will be a “family of devices” integrating hardware and software, echoing his long-standing appreciation for Apple’s product ecosystem integration strategy. To ensure the product is not imitated by competitors before it matures, Altman emphasized the confidentiality of the project. Ive’s team has been actively negotiating with suppliers capable of large-scale production in recent months, and Altman anticipates that OpenAI will achieve the shipment of 100 million high-quality devices at “unprecedented speed,” planning to officially launch the first product by the end of next year.
“AI Companion” Leaked: Slightly Larger than AI Pin
Although Altman and Ive have been tight-lipped about the new product, Kuo has released industry survey results on X, revealing specific information about the “new type of AI hardware device” developed in collaboration with Jony Ive and OpenAI:
- Expected to begin mass production in 2027.
- Will be assembled and shipped outside of China to reduce geopolitical risks, with current plans for assembly in Vietnam.
- The current prototype is slightly larger than the AI Pin, with an exterior design reminiscent of the iPod Shuffle.
- One usage method includes wearing the device around the neck.
- Will be equipped with cameras and microphones to detect the external environment, lacking display functionality.
- Expected to connect with smartphones and PCs, leveraging their computing and display capabilities.
Kuo stated, “I believe that OpenAI’s choice to officially announce its collaboration with Jony Ive at this time may aim to divert market attention from the recently concluded Google I/O. The advantages of Google’s ecosystem and AI integration emphasized during the Google I/O presentation are something OpenAI cannot currently compete with, hence OpenAI is using a different theme to divert market attention.” Kuo emphasized that the entrance of AI into real life (what is known as physical AI) is recognized in the market as the next key trend in AI. The success or failure of Jony Ive and OpenAI’s collaboration remains to be seen, but it reflects the aforementioned trend. He commented, this collaboration reminds me of American computer scientist Alan Kay’s famous saying: “People who are really serious about software should make their own hardware.”
My Industry Research Indicates on the New Type of AI Hardware Device from Jony Ive and OpenAI:
- Expected to begin mass production in 2027.
- Will be assembled and shipped outside of China to reduce geopolitical risks, with current plans for assembly in Vietnam.
- The current prototype is slightly larger than the AI Pin, with an exterior design reminiscent of the iPod Shuffle. The above design and specifications may change before mass production.
…pic.twitter.com/Yq1J0X4o15— Ming-Chi Kuo (@mingchikuo) May 22, 2025
Will it Follow in the Footsteps of Ai Pin? The “AI Companion” Concept Faces Major Challenges
Altman previously invested in the startup Humane, founded by former Apple executives, which launched the “Ai Pin.” Market reactions were below expectations, leading to the announcement in February this year of selling most of its shares to HP for $116 million, with Ai Pin no longer supporting voice calls, messaging, and AI query functions. Therefore, it can be said that disruptive AI devices still await consumer market testing. Meanwhile, OpenAI itself remains in a state of significant losses. According to reports from The Wall Street Journal, the company is not expected to be profitable until 2029, with projected losses reaching $44 billion (approximately NT$1.32 trillion) before that. Nevertheless, for OpenAI, developing its own hardware is a crucial step toward directly reaching consumers and breaking free from dependency on existing platforms.
This article is collaboratively reposted from: Digital Age
Further Reading:
AI Pin Terminates Service! HP Invests $116 Million to Acquire Startup Humane: Why it is Considered the Most Disappointing Tech Product in History?
OpenAI Spends $6.5 Billion to Acquire AI Device Startup io! Collaborating with iPhone Design Pioneer Jony Ive: First Product to be Released in 2026
Sources: WSJ, Ming-Chi Kuo
This article’s initial draft was composed by AI, compiled and edited by: Li Xiantai